Rare vacancy on Railway Avenue, Lower Hutt
It is not often that commercial properties become available for lease or sale in Lower Hutt’s Railway Avenue and the early interest being shown in a fully-leased and refurbished offering featured in Bayleys latest Total Property portfolio is evidence of the popularity of this proven location.
Mark Hourigan and Andrew Smith of Bayleys Wellington are marketing the freehold triple-tenanted building sitting prominently on the corner of Railway Avenue and Herbert Street.
“Demand from seasoned investors for good quality, well-leased, well-located commercial property has never gone away – despite the economic twists and turns of recent years, so this property is the kind of offering that sits well in an established portfolio” says Mr Hourigan.
“For those entering – or re-entering the market - funding seems to be readily available for those with solid equity. As bank deposit rates are still offering low returns, the fundamentals of property investment remain sound. Tough times are temporary and we are definitely noticing a lift in the market.”
Each of the three tenancies in this showroom/office and warehouse property is configured differently allowing for flexibility of usage. Given the clever use of the 647sq m site, each has their own independent profile with separate access and dedicated on-site parking.
“The way the building is positioned with innovative stepped profiles, each tenant can capitalise on the branding opportunities that come with 25,000 vehicles passing the site daily and the flow-on effects of the recently-opened Dowse interchange,” says Mr Hourigan, adding that Railway Avenue is seen as the ‘gateway’ to Lower Hutt.
Operating from the site are Enterprise Recruitment, Extreme Automotive and Sharps Auto Glass with all three tenants recently renewing their leases showing their commitment to the site. As such, there are three reasonably even income strands in place for the 594 sq m of lettable space and an annual net rental income of $122,663 which includes $10,000 from billboard opportunities on the site.
The property underwent a major refurbishment by Studio Pacific Architecture in 2005 and now sports a contemporary look with Alucobond cladding and frameless showroom windows.
“This is a top property and one which will meet the demands of even the sharpest commercial investor,” says Mr Hourigan.
The property will be auctioned on 3 December.
